Volvo has announced a rival for the BMW X1 and Audi Q3 will soon arrive in India in the form of the V40 Cross Country compact crossover which will debut in June 2013.
Since the V40 is a newer model than the aforementioned cars, this might seem like the car to buy. Unfortunately, every Volvo is imported as a completely built unit (CBU), and taxes for such cars have recently risen to 100%. Also reportedly coming to India is the regular V40, scheduled to arrive this month.
Both cars should be offered with a choice of two engines. There's the 1.6-liter petrol motor that will serve as the base model and the more expensive 2.0-liter diesel, offered with optional all-wheel drive.
Both cars should be a match for their lavish German rivals, the only real sticking point being the taxes. If Volvo finds enough customers, perhaps it will find the necessary funds to assemble its cars from kits in India, lowering the price its customers have to put up with.
The Swedish company's goal is to sell 20,000 cars a year by 2020 in India, which means prices will have to eventually come down for them to become competitive.
Published: Wednesday, April 10, 2013